FTX diverted $200 million of customer money for two venture deals that caught the SEC's attention
In this article FTT.CM= DAVE Follow your favorite stocks CREATE FREE ACCOUNT FTX founder Sam Bankman-Fried leaves following his arraignment in New York City on December 22, 2022. Ed Jones | AFP | Getty Images Of the billions of dollars in customer deposits that disappeared from FTX in a flash, $200 million was used to fund investments in two companies, according to the Securities and Exchange Commission, which charged founder Sam Bankman-Fried with "orchestrating a scheme to defraud equity investors." Through its FTX Ventures unit, the crypto firm in March invested $100 million in Dave , a fintech company that had gone public two months earlier through a special purpose acquisition company. At the time of the deal, the companies said they would "work together to expand the digital assets ecosystem." The other deal the SEC appears to have referenced was a $100 million investment round in September for Mysten Labs, a Web3 company. In total, it was a $300 million fundi...